You can self-host Uptrace and use it in production environment. This is explicitly stated in the FAQ - https://github.com/uptrace/uptrace#faq . But you can't resell Uptrace to others.
I can only repeat that the same BSL license is used by MariaDB, Sentry, CockroachDB, Couchbase, and others. I am not a lawyer and thus not qualified to discuss details.
> The Licensor hereby grants you the right to copy, modify, create derivative works, redistribute, and make non-production use of the Licensed Work.
So what is the point of even trying to install it in other environments?